Varex Announces Financial Results for First Quarter of Fiscal Year 2020

About this update from Varex Imaging Corporation

[{"type":"text","content":" SALT LAKE CITY--(BUSINESS WIRE)--\nVarex Imaging Corporation (Nasdaq: VREX) today announced its unaudited financial results for the first quarter of fiscal year 2020.\n\n\n1QFY20 Highlights\n\n\n\nRevenues were $200 million\n\n\nGross margin was 31% | Adjusted gross margin* was 33%\n\n\nNet earnings were $(0.03) per diluted share | Adjusted net earnings were $0.21 per diluted share\n\n\n\n“We had strong revenue growth in the first quarter driven by higher global sales of CT tubes and products for oncology, dental and airport baggage screening applications. Partially offsetting this were lower sales of radiographic digital detectors and mammography products,” said Sunny Sanyal, Chief Executive Officer of Varex. “Since the start of this fiscal year, we have renewed a number of multi-year pricing agreements with key customers, including our largest customer Canon Medical Systems Corporation,” said Sanyal.\n\n\nRevenues for the first quarter of fiscal year 2020 increased 8% to $200 million compared to $186 million in the prior year quarter. Medical segment revenues increased 8% to $156 million and Industrial segment revenues increased 6% to $44 million.\n\n\nGross margin for the first quarter of fiscal year 2020 was 31% of revenues compared to gross margin of 32% of revenues in the prior year quarter. Adjusted gross margin* was 33% of revenues compared to 36% of revenues in the prior year quarter.\n\n\nR&D investment for the first quarter of fiscal year 2020 was 11% of revenues compared to 10% of revenues in the prior year quarter and SG&A expenses were 17% of revenues compared to 17% of revenues in the same quarter a year ago.\n\n\nOperating margin for the first quarter of fiscal year 2020 was 2% of revenues compared to 6% in the prior year quarter. The adjusted operating margin* was 8% of revenues compared to 11% in the prior year quarter.\n\n\nNet earnings for the first quarter of fiscal year 2020 were $(0.03) per diluted share compared to $0.08 per diluted share in the prior year quarter. Adjusted net earnings* were $0.21 per diluted share compared to adjusted net earnings* of $0.26 per diluted share in the same quarter a year ago.\n\n\nCash Flow and Balance Sheet\n\n\nAt the end of the first quarter of fiscal year 2020, cash and cash equivalents were $30 million. Cash flow from operations was $23 million for the first quarter....

More updates from Varex Imaging Corporation